Increasing Student Retention Through Software Service John Meyer

Increasing Student Retention Through Software & Service John Meyer - Regional Sales Executive, SME November 2019 1

2008 2010 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 2034 2036 2

Total Number of Students Graduating High School AFTER 2025, ESTIMATED 3 -10% DECLINE EACH YEAR 2008 2010 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030 2032 2034 2036 3

Trending in Higher Ed Last 5 Years… • Enrollment is down • Endowments are down • Business office resources are down • Delinquent accounts are on the rise • Increased need for high -touch approach to student retention, student friendly apps, & easy payment options • Student retention is down 4

Higher Ed Puts a Premium On… » Student Retention » Collecting Every Dollar » Collaboration Between the Enrollment, Business, and Finance Offices 5

But, how? 6

With fewer business office resources… 7

Predictive Analytics Online, flexible payment options More engagement with students AR Management? 8

Predictive Analytics Online, flexible payment options More engagement with students YES! 9

Meet Your Newest Student, Joe will need a lot of hand-holding to help him figure out how to close the gap between what he can afford and the total cost of his education. This is Joe applies to ABC University Joe is accepted & enrolls Joe can’t afford $2, 000 of his tuition & fees 10

What happens when there are 500 Joes? But, only one of you? 11

Old Way Joe has a $2, 000 past due balance. Spring Semester Joe can’t pay, so he is sent to collections & can’t re-enroll. Fall Semester 12

Only 1% of students sent to collections re-enroll in school. 13

Delinquent Accounts Receivable Management Best Practices » Early intervention » Separated student payment plans » High touch » Live phone calls » Consistency 14

Future Challenges » California Assembly Bill 1313 – Will other states follow suit? » CFPB’s debt collection proposed rulemaking re: debt validation » Date/time stamping for collection attempts 15

ECSI Overview Solutions • Founded in 1972 • Located outside Pittsburgh, PA • 250+ employees • 1, 200+ clients nationwide • » Delinquent Accounts Receivable Management » Campus-Based Student Loan Servicing Parent company: Global Payments Inc. (NYSE: GPN) » Tax Document Services • Sister company: Touch. Net Information Systems » • Perkins loan servicer for the Department of Education FSA Multiple Outsource Solutions • Fastest growing accounts receivable management solution in higher education today » Refund Management Services • We are NOT a collection agency » Tuition Payment Plans 16

Recovery. Select Overview Software + Service = Results INTEGRATED • • Seamless, two-way, integration with your Student Information System (SIS) STUDENT-FRIENDLY • Soft, “white-glove” approach • Drastically reduces the # of students being sent to collections, which helps boost reenrollment & graduation rates Eliminates stale data, batch file processing, manual account updates & processing errors TIMELY & CONSISTENT INCREDIBLE RESULTS • • Improves cash flow and reduces bad debt write-offs by increasing student engagement & retention Improved communications, online payment options & customized payment plans • Recovery process begins as soon as an account is marked delinquent • Consistent letters, live agent phone calls, & mobile-friendly technology yield the best student outcomes 17

1, 000 Students sent to collections through new process 10 Students re-enroll for one year NEW WAY OLD WAY Small Numbers Add Up to Big Numbers 100 Students re-enroll for one year 10 Students x $20, 000 tuition = 100 Students x $20, 000 tuition = $200, 000 $2, 000 18

Retention Rates by School Type 24% Private Schools 10% Public Schools 32% Community Colleges 22% Average Across All RS Clients 19

Top 3 Reasons Schools Choose Recovery. Select » Engagement, retention, & revenue » We do the grunt work and you do what you were hired to do » Fewer students going to collections 20

Questions? 21